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Resolutions of Iftaa' Board


Resolutions of Iftaa' Board

Resolution No.(40): "Ruling of Sharia on a Draft Article Concerning the Application of Zero-Interest Contracts in Financing at The Agricultural Credit Corporation"

Date Added : 15-12-2015

 

Resolution No.(40): "Ruling of Sharia on a Draft Article Concerning the Application of Zero-Interest Contracts in Financing at The Agricultural Credit Corporation"

Date: 11/11/1417 AH, corresponding to 20/3/1997

 

We have received the following question:

What is the ruling of Islamic Sharia on the draft article concerning the application of contracts in financing at The Agricultural Credit Corporation?

Answer: All perfect praise be to Allah, The Lord of The Worlds, and may His blessings and peace be upon our Prophet Mohammad and upon all his family and companions.

Having undertaken comprehensive study, the Board has arrived at the following version:

Article (1): This regulation is to be called (The regulation of zero-interest financing contracts at the Agricultural Credit Corporation)

Article (2): Words and expressions mentioned in this regulation shall have the equivalent meanings given below, unless the context indicates otherwise.

A- The Corporation: Agricultural Credit Corporation.

B- (The Board):  Board of Directors of the Agricultural Credit Corporation.

C- The Director-General:  Director-General of the Agricultural Credit Corporation.

D- The Sharia supervisory committee: The Committee formed by virtue of this regulation to make sure that the Corporation complies with the rules of Sharia when applying it (regulation).

Article (3): By applying the zero-interest regulation, the Corporation aims at achieving the following:

A- Widening the scope of transaction with the agricultural sector through providing financing and investment services based on this regulation.  

B- Utilizing means of agricultural financing and investment on zero-interest basis.

C- Participating in the provision of necessary financing to meet the needs of the agricultural sector and its targeted groups.

Article (4): The Corporation shall accomplish its goals through the following contracts:

A- Mudarabah (Co-partnership): A contract by which the Corporation provides the needed cash, partially or completely, to finance a defined transaction where the party contracted with (Mudarib) functions on basis of sharing the profit if both parties agree on a certain percentage. In case of loss, the Corporation shall assume the liability; whereas, the partner (Mudarib) shall receive no compensation for his effort, unless he was negligent or committed a violation.

B- Muzaraa`h (Sharecropping): A contract of investing an agricultural land concluded between the owner of the land and the Corporation that shall invest it, if the produce is divided according to an agreed upon percentage. 

C- Musaqah (Share-tenancy): A contract of investing trees concluded between a company `s owner and the Corporation whereby the latter takes care of the trees provided that the produce is divided according to an agreed upon percentage.

D- Almogharasah (farm leasing): A contract between the land lord and the Corporation whereby the latter plants the land and takes care of the planted trees and provides whatever is needed for that end during a certain period, provided that the Corporation utilizes it in accordance with the agreed upon conditions.

E-Murabaha: It means selling an object while informing the purchaser of its original price and the profit he (seller) is getting in this deal. The conditions of the validity of this transaction are the same as the other transactions, i.e. the sold item itself should be lawful, pure, useful, in the possession of seller, and the seller should be able to hand it over to the purchaser. 

F- Istisnaa` (Making at the customer`s order): A contract concluded between the Corporation and the manufacturer whereby the latter shall manufacture a specified type and quantity of a certain commodity within a specified deadline of delivery in return for a defined price to be paid by the Corporation, against the needed materials and work, or the work in case the Corporation provided the needed materials.

G- Salam (Buying in advance): Amongst the conditions for the validity of Salam transaction:

1- The sold property should be describable in terms of features, quantity and available upon delivery time.

2- The contract should include the kind of the sold item, description, quantity and date of delivery.

3- If the contract doesn`t include the date of delivery, the seller is bound to deliver the item at the contracting council.

H-Any other contracts approved by the Board.

Article (5): These contracts fall under the umbrella of the stipulations of the Civil Law.

Article (6): The Corporation shall accept the investors` funds for investing them in its sphere of activities in line with the rules of Islamic Sharia.

Article (7): The Corporation may manage the manageable properties and assets on basis of sharing the profits in line with the rules of the Mudarabah (co-partnership) contract.

Article (8): The Board of Directors shall appoint a Sharia supervisory committee of no less than three specialized scholars. In addition, none may neutralize that committee, dismiss or change any of its members, save by a resolution from the Board, and a direct recommendation from the Director-General.

Article (9): The Board of Directors shall abide by the opinion of the Committee in the following:

A- The instructions issued by the Board regarding the forms and agreements necessary for executing the above contracts.

B- Reviewing the reasons for holding the Corporation responsible for any loss in investment and financing in order to check the Sharia evidence, which backs the resolution of the Board.

Article (10): The Corporation shall draw up its general policy pertaining to zero-interest financing and investment while maintaining a sufficient flow of cash in line with the sound banking customs and practices.

Article (11): The Corporation`s law, regulations and their amendments shall be enforced in cases not addressed in this regulation and after the consent of the Sharia supervisory committee.

Article (12): The Board shall issue the applied instructions necessary for executing this regulation. And Allah Knows Best.

 

Chairman of the Iftaa Board, The Supreme Judge, Izuldeen At-Tamimi
Sheikh Sa`eid Hijjawi
Sheikh Ibrahim Khashan
Dr. Abdulsalam Al-Abbadi
Dr. Fat-hi Al-Duraini
Dr. Mahmoud Al-Bakheet
Dr. Mahmoud Al-Sartawi
Sheikh Mahmoud Shewayat 

 

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Summarized Fatawaa

What is considered a woman`s Awrah (parts of the body that must be concealed during prayer) while offering prayer, and is her foot part of it?

A woman`s whole body is considered an Awrah while offering prayer except the hands and the face. Thus, her foot is an Awrah as well. And Allah Knows Best.

What is the ruling on reciting aloud (*jahr*) in a silent (*sirriyyah*) prayer?

All praise is due to Allah, and peace and blessings be upon our master, the Messenger of Allah.
Reciting aloud (jahr) in the Fajr prayer, in the first two rakʿahs of Maghrib and ʿIshāʾ, and reciting silently (isrār) in the Dhuhr and ʿAṣr prayers is a sunnah. If the worshipper recites aloud where silence is prescribed, or the reverse, his prayer is valid, although it is better to follow the sunnah, in imitation of the Prophet (peace and blessings be upon him). Abū Hurayrah (may Allah be pleased with him) said: “In every prayer there is recitation. What the Messenger of Allah (peace and blessings be upon him) let us hear, we let you hear, and what he concealed from us, we conceal from you. If you add nothing to Umm al-Qurʾān (al-Fātiḥah), it suffices, and if you add to it, it is better.” Narrated by al-Bukhārī.
Shaykh al-Islām Imam al-Nawawī (may Allah have mercy on him) said in al-Majmūʿ (Vol.3/389): “The sunnah is to recite aloud in the two rakʿahs of Ṣubḥ (Fajr), Maghrib, and ʿIshāʾ, and in the Friday prayer, and to recite silently in Dhuhr, ʿAṣr, the third rakʿah of Maghrib, and the third and fourth of ʿIshāʾ. All of this is by the consensus of the Muslims, together with the mutually reinforcing authentic ḥadīths on the matter. This is the ruling for the imam. As for the individual worshipper (munfarid), it is sunnah for him to recite aloud according to us and according to the majority… If he recites aloud where silence is prescribed, or the reverse, his prayer is not invalidated, nor is there a prostration of forgetfulness (sujūd al-sahw) for it, but he has committed something disliked (makrūh).” And Allah Almighty knows best.

A group of about thirty young men will go to a farm on Friday. Is it permissible for one of us to deliver the sermon (*khuṭbah*) and lead us in the Friday prayer, or is it necessary to go to the nearest mosque?

All praise is due to Allah, and peace and blessings be upon our master, the Messenger of Allah.
The Friday prayer (Jumuʿah) is not obligatory upon a traveler, whether his journey is long or short, if he leaves his place of residence before the time of Fajr begins, according to the Shāfiʿī school. If, however, he sets out on his journey after the Fajr adhān, then he is obliged to perform the Friday prayer, whether in his own town or in any town where the Friday prayer is held.
It is stated in Bushrā al-Karīm (Vol.1/p.383), one of the books of the Shāfiʿī school: “[The Friday prayer] is not obligatory upon a traveler on a permissible journey, whether long or short, if he departs from his place of residence before dawn.” End quote.
Accordingly, if you set out on your journey after Fajr, you are obliged to perform the Friday prayer in the mosque. The same applies if you set out after that, since you would not have fulfilled the conditions for the validity of the Friday prayer, among them: that it be attended by forty men who are free, adult (bāligh), sane, and settled residents of the place where Friday is held. It must be held within a cluster of connected buildings, whether a city, a village, or a district (liwāʾ), for what counts is the gathering of the buildings. And Allah Almighty knows best.

Does post-natal bleeding (Nifas) stop before forty days after childbirth?

Praise be to Allah, and peace and blessings be upon our Master, the Messenger of Allah.
 
Yes, post-natal bleeding (Nifas) can cease before the completion of forty days. If the bleeding stops completely and its return is not expected, the woman has attained ritual purity (Taharah), even if forty days have not yet passed. And Allah the Exalted knows best.

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